Stratford School District reports about $2.8 million special-education shortfall, seeks state high-cost reimbursement

The Stratford School District’s finance report presented at the Dec. 16 finance committee meeting showed a projected deficit of about $2,800,000 in the special-education clinical cost account and roughly $130,000 in the special-education transportation account.

District staff told the committee they have taken interim steps to limit spending — including freezing nonessential textbook purchases — and have entered preliminary data into the state high-cost (CDAC) report to seek additional reimbursement from the town’s estimated revenue stream. The report noted savings in salaries, benefits and fuel that may partially offset the shortfall but said those savings alone are unlikely to cover the total deficit.

Why it matters: Special-education costs are the largest driver of the district’s projected deficit this fiscal year and, if unreimbursed, could require transfers or other budget actions. Committee members were told the district will update the board monthly and pursue available state aid before recommending additional local funding.

Details from the meeting - The district reported it currently supports 1,376 students receiving special-education services, an increase of seven students since the prior board meeting. Staff emphasized that increases in enrollments and in the intensity of student medical and clinical needs have driven much of the cost growth. - Staff described several cost drivers: contracted clinical services (including Board Certified Behavior Analysts and behavioral technicians), individualized nursing (including 1:1 nurses and care for students with PICC lines) and other testing and risk-assessment services. Many of those contracted clinical services do not have a state-imposed cap, staff said, making costs hard to predict during budget planning. - The district said prior efforts to hire its own behavioral technicians were unsuccessful and the lack of a local applicant pool has required continuing to contract for some services. - Staff reported the district recently initiated its high-cost CDAC submission to the state and indicated the district’s high-cost reimbursement rate is currently about 88 percent; officials said that reimbursement is a key potential offset to the deficit but will not eliminate the need to monitor and manage spending. - The committee heard that some students who had been placed out of district have been returned to in-district programs; bringing students back reduces outplacement tuition but can increase in-district staffing and clinical costs. The district reported about 88 outplaced students (previously close to 90). - Program-level notes included expansion of the Strive program and the creation of a Strive Intensive track for students with more intensive needs; staff said 37 students currently attend the program housed at the facility referenced in the report.

Responses and next steps Committee members asked staff to provide more granular detail about what is driving the clinical-cost increases and how the district is pursuing legislative or state-level relief. Staff said they will continue monthly reporting to the board and will work with town officials on available high-cost reimbursements and potential transfers. The finance report stated that if revenue and enrollments remain as currently projected, the deficit figures presented would be expected; if enrollments change, the amounts could increase or decrease.

Votes at a glance - Acceptance of minutes from Nov. 25, 2024 — motion moved and seconded; motion passed unanimously.

(Reporting note: statements in this article are based on the Stratford School District finance committee meeting transcript for Dec. 16, 2024. Direct quotes were limited in the transcript; where staff attributed figures and process items, they are reported here as paraphrase.)